The act of a lender reviewing a borrower's credit file and then issuing an initial line of credit based on the results of the report, without the borrower requesting the loan. Lenders often do pre-approvals to entice people to borrow money from their company. Credit card companies send out letters on a regular basis that provide a person with a pre-approved line of credit. If the individual completes the pre-approved application, the credit line may be reduced or increased based on any changes in the borrower's credit file. Pre-approval offers typically do not decrease a person's credit score despite the multiple companies accessing it.
Related information about pre-approval:
- Pre-approval - Wikipedia, the free encyclopedia
In lending, pre-approval has two meanings: 1. The first is that a lender, via public or proprietary information, feels that a potential borrower is completely credit ...
- REALTOR.com: Don't Forget Your Pre-Approval Letter
Don't Forget Your Pre-Approval Letter Here are five reasons why getting a pre- approval letter is a good idea. By Marcie Geffner. Most home buyers know they ...
- Get Loan Pre-approval - Realtor.com
Learn what do you mean by pre approval loans, how to get it and what are its benefit in having them.
- 7 Tips for Getting a Preapproved Mortgage - SmartMoney.com
Aug 6, 2009 ... Serious home buyers should consider preapproval. Here's what to know.
- Understanding the Pre-Approval Process : HGTV FrontDoor Real ...
Jan 28, 2008 ... Loan shopping is as intricate a process as house shopping, and the terminology is often confusing. The terms.
- Mortgage Pre-Approval, Credit Scores - Zillow
The first step in getting a mortgage is to get pre-approved by a mortgage lender. Lenders will tell you this is key to getting the home you want. Zillow Mortgage ...
- Pre-Approval Definition | Investopedia
The pre-approval process involves a thorough look into the income and expenses of the borrower, including a look at the borrower's credit report and score.
- Mortgage Pre-Qualification vs Pre-Approval
Two often confused terms in the home buying process are a “mortgage loan pre- qualification” and a “home loan pre-approval.” Here is what you really need to ...